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Does import competition drive productivity growth? Evidence from Hungary’s pre-accession import tariffs
Review of World Economics ( IF 1.5 ) Pub Date : 2022-06-28 , DOI: 10.1007/s10290-022-00472-3
Franklin Maduko

This paper studies the effect of increased competition from imports on the productivity of firms. It proposes an empirical model that estimates productivity from sales revenue. The model addresses concerns associated with unobserved prices and demand conditions in revenue productivity. Unlike De Loecker (Econometrica 79(5):1407–1451, 2011), the model builds on recent evidence on the effect of exporting on firm-level prices by distinguishing between the export and domestic demand markets and integrating both in the supply function of firms. It applies this framework to study the effect that tariffs reduction on EU imports had on the efficiency of manufacturing firms in Hungary during the period 1996–2003, and finds that a 10-percentage point reduction in import tariffs on similar products manufactured by a firm raises the firm’s productivity by 1.40%. This is in contrast to 2.35% when revenue productivity is used. The proposed model provides a simple framework that improves productivity estimates from sales data.



中文翻译:

进口竞争是否会推动生产力增长?匈牙利加入前进口关税的证据

本文研究了来自进口的竞争加剧对企业生产力的影响。它提出了一个从销售收入中估计生产力的经验模型。该模型解决了与收入生产力中未观察到的价格和需求条件相关的问题。与 De Loecker (Econometrica 79(5):1407–1451, 2011) 不同,该模型建立在最近关于出口对企业水平价格影响的证据之上,通过区分出口和国内需求市场并将两者整合到供应函数中公司。它应用这一框架来研究 1996 年至 2003 年期间欧盟进口关税降低对匈牙利制造公司效率的影响,并发现公司生产的类似产品的进口关税降低 10 个百分点会提高企业的生产率增加 1。40%。这与使用收入生产力时的 2.35% 形成鲜明对比。所提出的模型提供了一个简单的框架,可以从销售数据中改进生产力估计。

更新日期:2022-06-29
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